Jodhpur, October 13: Online food delivery platform Zomato, along with fast-food giant McDonald's, has been collectively fined Rs 1 lakh by the District Consumer Dispute Redressal Forum in Jodhpur, Rajasthan. According to multiple reports, this penalty follows a case where a customer who had ordered vegetarian food from McDonald's through Zomato received a non-vegetarian parcel instead. Additionally, the customer has been awarded Rs 5,000 as the cost of litigation. The joint responsibility for the penalty and litigation costs has been imposed on both Zomato and McDonald's.

Zomato, in response to the order, has announced its intention to appeal the decision, expressing confidence in the merits of its case based on legal advice from external counsels. The platform reiterated its stance as a facilitator for the sale of food, placing the responsibility for any service-related issues, including wrong deliveries and quality concerns, on the respective restaurant partners. Zomato Slammed for Its Recycling Awareness Ad Featuring Aditya Lakhia's Lagaan Character Kachra, Netizens Accuse Brand of Being Casteist.

The District Consumer Dispute Redressal Forum deemed both Zomato and McDonald's collectively liable for the penalty under the Consumer Protection Act, 2019, a decision contested by Zomato, highlighting the failure to acknowledge the clear distinction in responsibilities between the platform and the restaurant. Despite the regulatory scrutiny and the financial penalty, Zomato emphasised that the ruling is not anticipated to have any significant operational or financial impact on the company. ‘McDonald’s Can’t Afford Tomatoes!’ The Food Chain Temporarily Suspended the Use of Tomatoes in Delhi Due to Sharp Price Surge in Northern India.

Zomato's shares, as of the latest update, were trading at Rs 111, reflecting a marginal increase of 1.05 per cent. The incident underscores the importance of accurate and reliable food delivery services, and the case serves as a reminder for platforms to ensure stringent quality checks and measures to maintain customer trust and satisfaction. As the appeal process unfolds, the industry will keenly observe the legal implications and its potential impact on the wider food delivery ecosystem.

(The above story first appeared on LatestLY on Oct 13, 2023 06:49 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).